Finicity launches new underwriting tools to help FIs reach new customers

Data aggregator Finicity, which Mastercard agreed to acquire in June in a deal valued at nearly $1B, launched a new product suite called Finicity Lend, which is designed to help lenders reach more consumers through a closer line of sight on transactions.

Why should we care?
With a growing number of credit-challenged consumers during the pandemic, banks are tightening their screws on lending. A recent Wall Street Journal report called banks’ dilemma to figure out who is creditworthy the “credit blind spot.” In response to these headwinds, credit bureaus (including, for example, FICO) and data aggregators are launching new tools to help lenders reach a broader pool of borrowers. Finicity Lend incorporates cash flow analysis, enabling lenders to gain a deeper view of a small business or individual’s creditworthiness. Other areas Finicity Lend can review include assets, income, employment, and scoring attributes. Finicity’s goal is to become a consumer reporting agency, allowing users to review, dispute, and correct any inaccurate information.